Digital billboards provide a unique high-tech way for businesses to advertise. These billboards create signs by using LED, or Light Emitting Diode, technology to display and cycle through different advertisements. Inc Magazine reports one billboard can generate more than $14,000 in monthly revenue. The cost of advertising on a digital billboard can vary from $1,000 to $10,000 a month depending on a few factors such as exposure, demand and size.
The size of the electronic display is one factor in determining your sign cost. The price of your ad will go up when the resolution of the sign is larger. Larger displays are typically found near freeways or in downtown urban areas. Small displays are found in sports stadiums or entertainment venues.
How much traffic your ad is exposed to will greatly influence the cost. Signs near freeways or other high profile areas with more traffic will bring in more revenue because more people are seeing it. When your sign is in a highly concentrated area with more traffic, it will cost more.
Length of Display
The price of your sign also depends on how long your ad stays on the electronic display. Digital signs can display more than one advertisement by rotating through each of them, keeping each one on a few seconds. If you leave your advertisement on for a longer time, your advertising rate will increase.
Demand of Billboard
The cost of a digital billboard advertisement also depends on how high the demand is for it. When a billboard is in high demand, it means that more advertisers are using it. This also means that it could potentially bring in more revenue for your business.